What documents will I sign?
Operating Agreement (governs how you and your co-owners run the LLC) + Management Services Agreement (the LLC's contract with RYDA for operations). Both via e-signature, both reviewed by counsel.
Operating Agreement
The Operating Agreement governs the LLC. The LLC is member-managed, meaning you and your co-owners hold authority over material decisions. Covers: voting thresholds (typically 75% supermajority for sale, replacement, modifications), fair-use rules during peak and off-season, what happens if a co-owner stops paying, how the vehicle gets sold or replaced, transfer mechanics, and dispute resolution. Standard length: 30–40 pages. We provide a 2-page plain-English summary alongside the full document.
Management Services Agreement (MSA)
The MSA is between the LLC and RYDA. It defines the services RYDA provides, storage, insurance procurement, scheduling, maintenance, member services, and the all-in annual management fee charged to the LLC (~7–9% of vehicle value, covering RYDA's service component plus pass-through costs). RYDA is a service provider engaged by the LLC's members, not a manager of the LLC itself. The MSA can be renewed or terminated by member vote per the Operating Agreement.
Annual documents
Each year you'll receive an updated certificate of insurance for the vehicle, an annual condition and service report (mileage, maintenance, inspections), an updated insurance valuation (used for the LLC's policy renewal), and an annual statement summarizing your contributions, fees paid, and usage.
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